I'm going to do a frame collage like this for the living room. Not sure yet if I want the frames to be all the same color or not. Some will have pictures in them and some will have personally crafted pictures/collages.
This is a nice-looking living room with smaller rug. Perhaps the key is to frame the rug with sofas / sofa and armchair combo / sofa and the window. And another trick is to fill up the room so the size doesn't look awkward.
This is more just an idea for something you guys can keep your eyes out for at garage sales (old pie tins). I would really like to have a wall like this (old pie tins as frames) but have yet to run into any tins.